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How to buy a House in Dubai? Ten key Factors to Consider When Investing

Posted by cafedetech on March 4, 2024

Dreaming of buying a house in Dubai? It is not impossible. You can invest in Dubai’s real estate and purchase anything you are interested in. Without a doubt, Dubai has become a tourist attraction. People around the globe aim to visit and live there. If you have a dream of owning a house, then this blog is for you. Keep reading it to learn how to buy a house in Dubai and explore factors that are necessary to consider before investing there.

Dubai is known for its remarkable development and infrastructure. It offers a luxury lifestyle. Living in Dubai is no less than a dream. Besides exceptional living, it also extends numerous business and investment opportunities

How To Buy A House In Dubai?

If you are a first-time buyer, then buying a house can be a daunting task for you. This process involves several legal complexities. Being a novice in Dubai’s real estate market can be a hurdle for you.

The Law Regulating The Property Buying Process:

Real Estate Law No. 7 of 2006: Land Registration Law regulates the process of buying properties in Dubai. Its article 4 stipulates that UAE and GCC citizens can purchase properties in Dubai. The same law allows foreigners to buy real estate in some specified areas of Dubai. 

There are two types of properties there: Freehold properties and leasehold properties. Foreigners can also purchase both types of properties. The concept of freehold property in Dubai allows people to have full and exclusive ownership of purchased property and exercise their ownership rights without any interference.

Legal Steps To Buying A Property In Dubai:

The Composition Of The Contract

Once you choose a property after completing general steps such as finding and evaluating it.  Now, it is time to move towards legal obligations. You should negotiate about price, mode of payment and other terms and conditions. Make sure that you do not have any ambiguity related to this deal!

Signing The Agreement And NOC Application Process

Once you agree upon the terms and conditions, both parties must sign the sale agreement, commonly called Memorandum of Understanding (MOU). The buyer’s real estate agent will prepare it. This form can be obtained from the official website of the Dubai Land Department.

Both parties will sign the agreement before a witness at the Registration Trustee’s Office. The buyer will also have to pay the Registration Trustee a 10% security deposit. This amount will be returned once the transfer of property finishes. Now, it is time to apply for a No-Objection Certificate (NOC) to transfer the ownership of a specific property. The developer issues NOC if there are no outstanding service charges on the property.

Effecting The Ownership

Buyers and sellers meet at the Dubai Land Department office after obtaining NOC. The purpose of this meeting is to make the transferred ownership effective. Now, the buyer has become the owner of that property. He can exercise his ownership rights without any obligation.

Ten Key Factors To Consider When Investing:

Real estate investment is quite complex. An individual must understand the intricacies involved to ensure a smooth and secure experience. The following are ten key factors that you cannot ignore while investing in real estate.


The most important thing one can consider related to real estate is location. The Three “Ls” matter. They are location, location and location. It is the locality or whereabouts of a property which determines its price and value. Based on your specific interests, you should prioritize this factor before buying an inventory or plot. 

Budget And Affordability

You should not go beyond your limits. Finalize your budget and seek properties that align with your financial estimates. Do not ignore your affordability; otherwise, you may experience trouble. Consider upfront and required expenses and ensure that they do not exceed your stipulated limit.

Condition Of A Property

Evaluate the condition of your chosen property. The condition of a property can influence its cost. If it is new, you will have to pay more, and if the condition is fragile, then its price will be relatively lower.

Local Laws

It is crucial to understand and follow local rules and regulations. A person who intends to buy a property in a specific area should know about local laws related to real estate. Having an understanding of these laws will help you ensure that your property is legally compliant.

Market Trends

Research about market trends and the possibility of fluctuation in a specific area before investing your money. Considering market trends such as availability of inventory, sales potential and, propensity and risk factors will help you find a profitable real estate.

Facilities and Amenities

Do not forget to check for available amenities and facilities such as parks, gyms, sports clubs, educational and health institutes and markets in a specific area. Always choose a property with easy access to your desired facilities.

Transportation Factors

Also, consider transportation options can you reach a specific area via public transport, or do you need a private vehicle to commute? how much time will it take to reach a place and choose based on your convenience.

Future Development Plans

Is a specific area developing, or what is its development status? Will new projects be developed there? Choosing a locality with upcoming developmental projects will impact the property in a positive way. 

Rental Yields

If you have a plan to use your purchased property for rental purposes, then also assess estimated rental yields or whether they are enough to fund mortgage repayments and maintenance expenditures.

Residence Visa

If you are planning to invest in Dubai, then you should also know about residence visa and how you can apply for it. An expat can obtain a residence visa after investing under specific terms and conditions. You can enjoy Dubai’s lifestyle to the fullest by getting a residence visa.

Get Our Services And Get Your Desired Property

If you want to buy a house in Dubai or start your business, then you can seek our experts’ services. Kelt and Co Realty is always there to assist you in buying and selling your real estate in Dubai.


Can A Foreigner Buy A House In Dubai?

Yes, A foreigner can buy residential and commercial property in Dubai. There are some specific areas, such as Dubai Marina, Palm Jumeirah, and many more, where an expat can purchase the property.

Do I need a residence visa to buy property in Dubai?

No. You do not need a residence visa to buy a property in Dubai. You can purchase residential and commercial property in Dubai without a residence visa. However, you become eligible for a residence visa after buying real estate in some specific areas of Dubai.

Are there any restrictions on property ownership in Dubai?

Yes. There are some restrictions related to property ownership in Dubai such as expats can only buy freehold properties in some specific areas of the city.

Can I get a mortgage as a foreigner in Dubai?

Yes. You can get a mortgage as a foreigner in Dubai. If you fulfil the required criteria, such as proof of income and bank statements, then you can apply for a mortgage.


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